Get Out of Debt Guy Show Podcast – July 23, 2021

On this podcast Damon Day and I focused on reduced mortgage payments for people behind on their federally backed mortgage loans after Covid forbearance ends, why it is so easy to make bad emotional decisions, and adios to FedLoan Servicing. Steve Rhode Get Out of Debt Guy GetOutOfDebt.org Transcript Steve Rhode: [00:00:00] So I just … Read more

Nearly All Department of Education Loan Programs Seemingly Broken Under DeVos

The Department of Education under Betsy DeVos seems to be broken when it comes to overseeing student loan programs. Deep issues are preventing debtors from getting access to programs and forgiveness under the law. The biggest broken programs are Public Service Loan Forgiveness, Borrower Defense to Repayment, Closed School Discharges, and now a new class-action … Read more

Why Did Department of Education Let FedLoan Servicing Screw People Over PSLF?

Student Loan Debt

As Alan White reported in Credit Slip yesterday, the U.S. Department of Education assigned the complex task of monitoring the Public Service Loan Forgiveness (PSLF) program to its worst-performing student-loan servicer–FedLoan Servicing (Fedloan). In 2017, DOE ranked FedLoan last among 9 student-loan servicers “based on delinquency rates and customer satisfaction survey results.” PSLF, created by … Read more

CFPB Blasts FedLoan Servicing for Sucking at Managing PSLF Program

Another great article out from Danielle Douglas-Gabriel at WaPo on the CFPB finding about the Public Service Loan Forgiveness program. “In some instances, people said the servicing company provided an inaccurate count of all their qualified payments and gave them a hard time as they fought to have the error corrected. Borrowers must also submit … Read more

Student Loan Bankruptcy Case Discharges Debt for Humanity

Student loans cannot be discharged in bankruptcy, right? WRONG! Distressed student borrowers have won a string of victories in the bankruptcy courts over the past few years. And Fern v. FedLoan Servicing is another case for the win column. Fern v. FedLoan Servicing: A single mother of three children discharges her student loans in bankruptcy … Read more